Closed Friday, June 15, 2012 · Lynchburg, Moore County, Tennessee
The Farmers Bank of Lynchburg
The Farmers Bank of Lynchburg's founding in 1888 put it past its 100th year when it closed. In the three years to the fourth quarter of 2009, its assets grew 276%. It reported a net loss in four of its final nine reporting years.
On the books, 2004 to 2012
Total assets peaked at $225 million and were 27% lower at the final report. Equity capital went from 12% of assets in the second quarter of 2004 to 4.1% at the last report. The deepest annual loss, $14.8 million, was booked in 2011.* 2012: January to March only, the last report before closing.
Size against the other 2012 failures
Total assets of each 2012 failure, log scale; The Farmers Bank of Lynchburg in red.
By assets it ranked 24th of the 51 failures in 2012. Within Tennessee it ranks tenth by size of the 70 failures recorded since 1934. Across the failures of 2012, the median estimated loss came to 21% of assets. In the size ranking of that year, just above it was Putnam State Bank of Palatka, Florida ($169 million, loss 17% of assets); just below, HarVest Bank of Maryland of Gaithersburg, Maryland ($163 million, loss 16% of assets). Every 2012 failure in the explorer.
Two other banks closed that day; the largest was Putnam State Bank of Palatka, Florida, at $169 million.
Failures in Tennessee
It was one of three banks in Tennessee to fail in 2012. The previous failure there was BankEast of Knoxville, on January 27, 2012. The next was Mountain National Bank of Sevierville, on June 7, 2013. No other failed bank in the FDIC's records was based in Moore County.